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HomeMy WebLinkAboutResolution - 2011-R0342 - Approve Service Plan For Valencia PID - 08/11/2011Resolution No. 2011—R0342 August 11, 2011 Item No. 5.2 RESOLUTION AND ORDER WHEREAS, the City of Lubbock in Resolution 2011-R0310 has authorized the creation of the Valencia Public Improvement District pursuant to the Texas Public Improvement District Assessment Act; and WHEREAS, the City desires to apportion the cost of improvements and services to be assessed against the property in the improvement district on the basis of special benefits accruing to the property because of the improvements or services and to establish the methods of assessing the special benefits for various classes of property; and WHEREAS, the City of Lubbock desires to schedule a public hearing in accordance with Section 372.016 of the Texas Local Government Code to consider the proposed assessments for designing, constructing and maintaining parks and green space together with any ancillary structures, features or amenities such as playgrounds, athletic facilities, pavilions, community facilities, irrigation, walkways, lighting, benches, trash receptacles and any similar items located therein along with all necessary grading, drainage, and similar infrastructure involved in the maintenance of such parks, green spaces; landscaping, hardscape and irrigation; including costs of establishing, administering and operating the District, all in accordance with the Act; NOW, THEREFORE, BE IT ORDERED AND RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: SECTION 1: THAT the Service Plan which contains an Assessment Plan for the Valencia Public Improvement District is hereby approved by the City Council of the City of Lubbock. Said Plan is attached as Exhibit "A" and incorporated herein as if fully set forth; and SECTION 2: THAT City staff is hereby directed to prepare a proposed Assessment Roll stating the assessment against each parcel of land in the district as determined by the Assessment Plan; to file the proposed assessment roll with the City Secretary; and to make the proposed assessment roll available for public inspection; and SECTION 3: THAT a public hearing is hereby scheduled at 9:30 am, Thursday, August 25, 2011, in the City Council Chambers, 1625 131h Street, Lubbock, Texas, to consider the proposed assessments and receive public comment; and SECTION 4: THAT notice of said hearing shall be published in a newspaper of general circulation in the city before the tenth day before the date of the hearing as required by state law; and SECTION 5: THAT the notice shall contain the date, time and place of the hearing; the general nature of the improvements and services; the cost of the improvements and services; the boundaries of the assessment district; and a statement that written or oral objections will be considered at the hearing; and SECTION 6: THAT when the assessment roll is filed, the City staff is directed to mail to the last known address of each property owner liable for assessment (as reflected on the tax rolls) a notice of the hearing containing, at a minimum, the information contained in the published notice. Passed by the City Council this 11th day of August 2011. ,-I-, A TOM MART,MAYOR ATTEST: Rebec6a Garza, Secr APPROVED AS TO CONTENT: Andy Chief Financial Officer APPROVED AS TO FORM: Linda L. Chamales, Economic Development Attorney LC: ecdoc RES -Valencia PID Ow,ficolion Rcs and..,c unmherring July 20, 2011 Resolution No. 2011—R0342 Exhibit "A" flLi city Of ubbock TEXAS VALENCIA PUBLIC IMPROVEMENT DISTRICT CITY OF LUBBOCK, TEXAS SERVICE AND ASSESSMENT PLAN August 11, 2011 City of Lubbock, Texas Finance Department Valencia Public Improvement District Service and Assessment Plan August 11, 2411 TABLE OF CONTENTS Section I Plan Description and Defined Terms Section II Property included in the PID Section III Improvement Project Section IV Sources and Uses of Funds Section V Assessment Plan Section VI Terms of the Assessments List of Exhibits Exhibit A The PID Map Exhibit B Maintenance and Services Exhibit C Assessment Roll City of Lubbock, Texas Finance Department Valencia Public Improvement District Service and Assessment Plan August 11, 2011 Section I Plan Description and Defined Terms A. Introduction Chapter 372 of the Texas Local Government Code, Improvement Districts in Municipalities and Counties" (as amended, the "PID Act"), governs the creation of public improvement districts within the State of Texas. The City of Lubbock created the Valencia Public Improvement District (the "PID") to maintain the public improvements associated with the Valencia planned development and for the benefit of certain property in the PID, all of which is located within the City. (Capitalized terms used herein shall have the meanings ascribed to them in Section I.13 of this Service and Assessment Plan.) This Service and Assessment Plan has been prepared pursuant to Sections 372.013, 372.014, 372.015 and 372.016 of the PID Act. According to Section 372.013 of the PID Act, a service plan "must cover a period of at least five years and must also define the annual indebtedness and the projected costs for improvements. The plan shall be reviewed and updated annually for the purpose of determining the annual budget for improvements." The service plan is included in Section IV of this Service and Assessment Plan. Section 372.014 of the PID Act states that "an assessment plan must be included in the annual service plan." The assessment plan is described in Section V of this Service and Assessment Plan. Section 372.015 of the PID Act states that "the governing body of the municipality or county shall apportion the cost of an improvement to be assessed against property in an improvement district." The method of assessing the Costs of the improvements to the property in the PID is included in Sections V and VI of this Service and Assessment Plan. Section 372.016 of the PID Act states that "after the total cost of an improvement is determined, the governing body of the municipality or county shall prepare a proposed assessment roll. The roll must state the assessment against each parcel of land in the district, as determined by the method of assessment chosen by the municipality or county under this subchapter." The Assessment Roll for the PID is included as Exhibit C of this Service and Assessment Plan. The Assessments as shown on the Assessment Roll are based on the method of assessment described in Section V of this Service and Assessment Plan. The City Council shall make all determinations necessary herein. The City Council intends for the obligations, covenants and burdens on the owner of the Assessed Property, including without limitation such owner's obligations related to the payment of the Assessments, to constitute a covenant running with the land. The Assessments levied hereby shall be binding upon the owners of Assessed Property, and their respective transferees, 2 City of Lubbock, Texas Finance Department Valencia Public Improvement District Service and Assessment Plan August 11, 2011 legal representatives, heirs, devisees, successors and assigns. The Assessments shall have lien priority as specified in the PID Act. This Service and Assessment Plan provides for maintenance of improvements benefiting the entire area of the Valencia PID B. Definitions The terms used herein shall have the following meanings. "Annual Service Plan Amendment" has the meaning set forth in the first paragraph of Section IV of this Service and Assessment Plan. "Assessed Property" means, for any year, parcels within the PID. "Assessment" means, with respect to each Parcel, the assessment imposed against such Parcel pursuant to the Assessment Ordinance and the provisions therein, as shown on the Assessment Roll, subject to reallocation among Parcels and reduction according to the provisions herein and the PID Act. "Assessment Ordinance" means the Assessment Ordinance approved by the City Council approving and adopting this Service and Assessment Plan. "Assessment Roll" means the document included in this Service and Assessment Plan as Exhibit C, as updated, modified, or amended annually in accordance with the procedures set forth herein and in the PID Act. "City" means City of Lubbock, Texas. "City Council" means the duly elected governing body of the City. "Costs" mean the actual or budgeted costs, as applicable, of all or any portion of the maintenance of the public improvements, operation, and other supplemental services, as described in Exhibit B of this Service and Assessment Plan. "Developer" means Betenbough Homes, Inc. "Improvement Project" means the maintenance of the public improvements that will provide a special benefit to the property in the PID and described in Exhibit B of this Service and Assessment Plan and Section 372.003 of the PID Act. "Parcel" means a parcel identifed by either a tax map identification number assigned by the Lubbock County Appraisal District for real property tax purposes or by lot and block number in 3 City of Lubbock, Texas Finance Department Valencia Public Improvement District Service and Assessment Plan August 11, 2011 a final subdivision plat recorded in the real property records of Lubbock County, Texas or identified by any other reasonable means determined by the City Council. "PID" has the meaning set forth in the second paragraph of Section I.A of this Service and Assessment Plan. "PID Act" means Texas Local Government Code Chapter 372, Improvement Districts in Municipalities and Counties, Subchapter A, Public Improvement Districts, as amended. "PID Map" means the map included as Exhibit to the Service and Assessment Plan identifying the property included in the PID. "Service and Assessment Plan" means this Service and Assessment Plan prepared for the PID pursuant to Section 372.013, 372,014, 372.015, and 372.016 of the PID Act. Section II Property Included in the PID The PID is located in the City of Lubbock, Texas. A map of the property included in the PID is shown on Exhibit A to this Service and Assessment Plan. The 39.9 acre development is expected to consist of approximately 80 residential units, parks and associated rights of way, landscaping, and infrastructure. An explanation of the method of assessing property is included in Section V. Section III Description of the Improvement Project The general nature of the proposed public improvements is: (i) maintenance of Parks and green spaces together with any ancillary structures, features or amenities such as playgrounds, athletic facilities, pavilions, community facilities, irrigation, walkways, lighting, benches, trash receptacles and any similar items located therein along with all necessary grading, drainage, and similar infrastructure involved in the maintenance of such parks and green spaces; landscaping, hardscape and irrigation; and (ii) costs of establishing, administering and operating the District. The District is to supplement and enhance services within the District, but not replace or supplant existing City services provided within the District. The public improvements will be constructed by the Developer with no reimbursement from the PID. After analyzing the maintenance, operation, and other supplemental services related to the Public Improvements, the City has determined that the maintenance of the public improvements authorized by the PID Act, shown in Exhibit B, should be performed by the City and has further 4 City of Lubbock, Texas Finance Department Valencia Public Improvement District Service and Assessment Plan August 11, 2011 determined that these maintenance activities will be of special benefit to all the Assessed Property within the PID. A. Maintenance of Public Improvements The cost of the maintenance, operation and other supplemental services to be funded through assessments on Assessed Property is estimated at $4,500 in the second year and increases to $18,774 in the 4`h year, with 2 percent annual growth thereafter. The budget for the maintenance, operation, and other supplemental services will be determined annually by the City and will be included in a Service Plan Amendment along with amendments to the Assessment Roll reflecting assessments (the "Maintenance Assessment") based on such budget for maintenance, operation and necessary supplemental services. Section IV Sources and Uses of Funds Section 372.013 of the PID Act requires this Service and Assessment Plan to "cover a period of at least five years and must also define the annual indebtedness and the projected costs for improvements. The plan shall be reviewed and updated annually for the purpose of determining the annual budget for maintenance." Such annual update to this Service and Assessment Plan is herein referred to as the "Annual Service Plan Amendment." The Valencia PID will have no indebtedness and the PID assessments will fund the maintenance of the public improvements, operation, and other supplemental services. The table below shows estimated sources and uses of funds including the projected cost of maintaining the public improvements. C.Ird.r Yor^ 2611 1912 1013 2414 3815 2016 1617 3018 M$ T.hh Propml V".. f 1.240.000 6,76/.1x1 11.500.096 19,1"09S 21,917,100 22.)55,442 12.602.531 21,116.60I 11350,602 Dhoo4xte6 Aopmy Veb m 29 9053 - 1.016,000 6,031,130 I I.ISOA16 1015.033 19,725,190 20,119,091 20,522,296 10,912,741 20,932,742 Pl.nl Ynr 2011•11 2012•13 2013.16 1414 -IS ! MI& 2016.17 2017-18 2018.19 2019.10 TOWS 11.7114.. 1W=1[WRIAp, f 44 89 s0 39 91 145 201 659 A, pm A It SO.I I 2.213 6.697 12.175 10,167 21,698 22.02 22375 23.016 121.997 To1.1 f 1,218 6,742 IIA64 11,117 11,7]7 22.111 11,719 11,117 IMM [19325340 3702 S1,M Pot'T-1 A' 1.13 Awe. M..Z-of Put f - 4,490 1,6W 4.933 9,010 9.190 9.)74 49.556 M.w.trns of 1..t,D kc m) tM) 1,IW 5121 4.4.44 11.113 0702 ayM Mame TeM B' 07 Atm SLammesdMo4_ - - 2.111 2.165 2.208 2131 1391 2.144 11,790 hh vsnaccdvcfimDnsWpe71 2a.t 2!>a Snal 6.02 M.trt9 CM, - 2.000 1040 2.031 2.122 2,165 2.202 225I 14.069 hlxmigr4LmCo-di S00 1.671 1.707 1,741 1,776 1,111 1,147 11.0$5 Anew1(kmhext(Am 4,000 4.010 4,161 4,241 4.130 4,416 4,505 19,717 11•CADCoWim Coq W Cost of a tin# .,.oaxal.-h )-) M•tnlanrce Coq, PO4 Ml)nslaoer Mx441 410.200) 412.44) (4001 (16604) T441 f J,SN 14A46 18.774 19,149 19332 11.933 !0232 11666) C..►It w.7w 1.218 4.451 2.517 1.960 4" _ 7.M 44.0]4 11.149 11" -hop.7 V.W, pow om-2%-Ib ^ Ytu lhtl mrool,7{itlUon7i41rp%fmxtl.k roll 5 City of Lubbock, Texas Finance Department Valencia Public Improvement District Service and Assessment Plan August 11, 2011 The sources and uses of funds table is subject to revision each year. Section V Assessment Plan The PID was created and the assessment is being levied pursuant to Section 372.015 of the PID Act, "Determination of Assessment." A. Allocation of assessment • Properties will be assessed based on the City's 2012 "net taxable value" as established by the Lubbock Central Appraisal District and submitted to the City under Tax Code Section 26.04. • Assessment will be $0.11 per $100 valuation • All property will be assessed based on the final 2012 "net taxable value". Section VI Terms of the Assessments The annual assessment for each parcel within the PID shall be shown on the assessment roll. The amount of the assessment could change each year when the Service and Assessment Plan are adopted due to increased value on a parcel or the estimated cost of maintaining the public improvements, repair or replacement costs, and operational or administrative costs. 6 Y,t AAV NOJ t Cek9 V., Po Val—' OumwnW Pmpnty Values @ 90°A FV Yoe Revmua lxerest FzmioBa Assezm�tn�¢ 1b_Il Toul F I— M $nee, Pad. Tree A' 1 13 Aa Mmnlanen—fP nia.nianmm of Pa.�ilx.dnndl 87th Sneed Median Trod W 02 Ao Mmmence of Medan M1faimanence of FlediagOevelopeq Llmec Cnn- AAmiN<na�ive Cull AnnualO mon Cua (LCAn C011. ion C. and Co. afsemng mnssmenu each ymr) Mein,,C Paid by Ihvdo�wi TO.I Cash Nmvo <PmPeny Value QmuW nye= 2%annually ^ Year,Intl the conmuca_ nlue goes m the I_ m11 Assemment 1nfomat10n 2010-2017 Assessment per $100,000 110.00 Resolution No. 2011—RO342 City of Lubbock TX Finance UeparIv,I t Valencia PIU Service Plan E.chibit W 2011 2012 2013 2014 2015 2016 2017 2018 2019 Taub S - 2,240,000 6,764,800 12,500,096 18.350098 21,917,100 22155,442 22.802.551 23158,602 23,258,602 - 2.D16.()()() 6088,320 11.250086 16,315,088 19,]25,390 20.1 19,898 20322,296 20.932,742 M,932.742 1,202 1,741 1,226 1,811 1,947 11.055 4.162 4,245 4,330 4,416 2011-12 20M13 200.4 2014.15 201516 2016-17 2017-18 20119 20MW Tahb S - - 44 89 50 39 91 145 201 659 2216 1,092 1,325 18.10 21,698 22.132 22575 27.020 128.882 $ 2.218 6.242 1;464 18$12 21932 221" 22.219 D.222 129,16 S 4% S." 8.10 8.323 4." - 2.123 2,M 2.040 2,081 - 2.000 2,040 500 6]3 40W 4,080 8,660 8,833 9,010 9,190 9.324 49,556 28,483 2,165 2,208 2,253 2,298 2.344 13,390 6.121 2.081 2,122 2.165 2,208 2.252 14,669 1,202 1,741 1,226 1,811 1,947 11.055 4.162 4,245 4,330 4,416 4,505 29,232 8 4.SW 14." 18,224 19,149 19,532 1919" 21,122 116.602 M7M)11 ValendePIDSI, ePlan Revise084C11 W 2118 4.459 2,512 I'm 4,548 9,"8 10,034 12.940 12,940 Property ID Owner Name Mailing Address 6305 82nd Street R301038 Real Property Resources Inc. Lubbock, TX 79424 6305 82nd Street 8311397 Real Property Resources Inc. Lubbock, TX 79424 Total City of Lubbock, TX Finance Department Valencia Public Improvement District Assessment Roll As of January 1, 2011 Exhibit "C" • Estimated assessment for 2012 is based on Preliminary 2011 Market Value. The property has been classified for Ag Use in previous years, but will not be once it is developed. 7/27/2011, Page l of I 2011 2011 Preliminary Preliminary 2012 Est. Exemptions Property Address Legal Description Market Value Taxable Value Assessment 8701 Milwaukee Avenue BLK AK SEC 28 AB 750 TR AG Lubbock, TX 79424 A2 OF NW/3 ACS: 36.7685 $ 367,685 11,939 404.45 6301 82nd Street 4B AG Lubbock, TX 79424 Spectra Lubbock Southwest LAB 670,158 869 737.17 S 1,037,843 12,808 1,142 • Estimated assessment for 2012 is based on Preliminary 2011 Market Value. The property has been classified for Ag Use in previous years, but will not be once it is developed. 7/27/2011, Page l of I